Nigeria: Dangote refinery raises $2.5bn in private placement
Proceeds will support the expansion of the refinery and petrochemical complex.
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Dangote Petroleum Refinery and Petrochemicals (DPRP) has announced the completion of a private placement, which resulted in the issuance and allotment of approximately $2.5 billion in new equity.
Proceeds from the private placement will support DPRP’s ongoing expansion of the refinery and petrochemical complex in Lagos, Nigeria; strengthen the enterprise’s capital structure; and provide additional financial flexibility for future growth initiatives.
The offering attracted participation from a diverse group of international and African institutional investors, sovereign-related investment vehicles, development finance institutions, and individual investors.
Aliko Dangote, president/chief executive of Dangote Industries and chairman of DPRP, described the transaction as “a strategic step to deepen and further institutionalise the enterprise’s shareholder base, while raising capital to complement our internal cash flows and external funding, as DPRP advances its expansion agenda.”
He added: “This further demonstrates our profound commitment to developing domestic refining and petrochemical capacity – reducing Africa’s reliance on imported refined products and strengthening the continent’s energy security.”
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